Understanding Walgreens Store Closures: 5 Chicago Locations Shut Down
Five Walgreens stores in Chicago are set to permanently close soon, a company spokesperson confirmed to NBC Chicago. The closures are part of the pharmacy giant’s plan to shut down up to 1,200 “underperforming stores” by 2027. According to CNBC, around 25% of Walgreens’ 8,700 locations were considered “unprofitable” and at risk of closure.
Chicago List of Store Closures
The affected Walgreens locations are spread across various neighborhoods in Chicago, with no suburban stores on the chopping block. The closure timetable ranges from February 17 to 27, impacting the following stores:
– 7111 South Western Avenue (West Englewood)
– 4005 West 26th Street (Little Village)
– 9148 South Commercial Avenue (South Chicago)
– 3405 South King Drive (Lake Meadows)
– 7109 South Jeffery Boulevard (South Shore)
Why the Sudden Closures?
The closure announcement follows Walgreens’ strong fiscal first-quarter performance, where the company exceeded expectations. The positive results were well-received by Wall Street, boosting confidence in the drugstore chain’s efforts to revamp its struggling business. CEO Tim Wentworth highlighted the progress made in addressing key concerns, notably prescription reimbursement.
Despite the closure strategy’s success, Walgreens still faces challenges like consumer spending trends, inflation, and theft. Analysts like John Boylan caution against premature optimism, emphasizing the uncertainties surrounding reimbursement changes. Walgreens reported promising fiscal first-quarter results, including $39.5 billion in revenue and adjusted earnings per share of 51 cents, excluding closure expenses.
The Future Outlook
Looking ahead, Walgreens reiterates its fiscal 2025 adjusted earnings forecast of $1.40 to $1.80 per share. Analysts remain cautiously optimistic, projecting earnings of $1.52 per share. While the company grapples with dividend policy evaluation, its stock performance has seen positive momentum in 2025, contrary to the previous year’s decline. As Walgreens navigates these challenges, stakeholders eagerly await further updates on the company’s financial stability and growth trajectory.
